If Your Clients Accept Credit Cards, They Could Face Massive Fines And Penalties If The Business Experiences a Data Breach?
The scary thing is that many standard cyber policies heavily sub-limit expenses associated with credit card breaches. Payment processors typically push all the liability back onto merchants. Contact us today to get a quality cyber policy for your clients.
What happens in a credit card breach?
Hackers target credit & debit card information because it is incredibly valuable on the dark web. It can be bought and sold for an average of $5/card. Hackers will typically look for electronic access to POS systems, databases, cloud providers, and websites. They will utilize Skimming tools, phishing emails, and spyware to obtain quality information. Once this information is breached, it is very likely your client’s business will have to pay for notification costs, forensics, PCI fines/penalties, card replacement, credit monitoring, identify theft repair, and POS system upgrade.
Claims Example: Retail Store
In 2018, Hackers stole information from more than 5 million credit and debit cards used at Saks Fifth Avenue, Saks Off 5th, and Lord & Taylor stores. According to Gemini Advisory, it appears that all Lord & Taylor locations and 83 US based Saks Fifth Avenue locations had been compromised. In addition, they identified three potentially compromised stores located in Ontario, Canada. Business Insider reports that Data breaches cost businesses an average of $7M.
In 2018, Hackers stole information from more than 5 million credit and debit cards used at Saks Fifth Avenue, Saks Off 5th, and Lord & Taylor stores. According to Gemini Advisory, it appears that all Lord & Taylor locations and 83 US based Saks Fifth Avenue locations had been compromised. In addition, they identified three potentially compromised stores located in Ontario, Canada. Business Insider reports that Data breaches cost businesses an average of $7M.
How Can I Make Sure My Client is Covered?
Check the cyber policy wording to determine if there is coverage for: PCI Fines, PCI Penalties, payment card assessments, or PCI-DSS (Payment Card Data Security Standard). Review the exclusions to ensure there is nothing PCI related. Make sure you are aware of the limit provided in the event there is a “payment card breach.” If you are looking to ensure that your client has quality coverage in place in the event there is a breach, please contact Patrick Costello (contact info above) or click the quote/appointment buttons below.
Check the cyber policy wording to determine if there is coverage for: PCI Fines, PCI Penalties, payment card assessments, or PCI-DSS (Payment Card Data Security Standard). Review the exclusions to ensure there is nothing PCI related. Make sure you are aware of the limit provided in the event there is a “payment card breach.” If you are looking to ensure that your client has quality coverage in place in the event there is a breach, please contact Patrick Costello (contact info above) or click the quote/appointment buttons below.
For quotes, please contact [email protected].